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What is the penalty for Unemployment Fraud in New York State ?

Monroe, NY |
Filed under: Tax law

If someone has collected over $30.000 in unemployment benefits, and has worked "Off the Books" since collecting and is caught, what would the charges be ? How would the Dept. of Labor find out who they have worked for ? And could the people this person has worked for get into trouble if they didn't know the person was collecting benefits ?

What would the criminal charges this person could face if caught ?

Attorney Answers 3

Posted

Typically the Department of Labor attempts to recoup the money by holding a hearing. If the person loses the hearing they could potentially become liable for all the benefits they collected. Usually the DOL finds out becomes someone tells them in some manner either through someone reporting, a tax filing or some other manner. The people paying the person off the books may be violating various tax laws themselves since they are paying off the books.

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Posted

You could be facing felony criminal charges including grand larceny and offering a false instrument for filing.

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Posted

You could be facing civil penalties and potential criminal charges at the state and federal level. Your question indicates a need to speak with a tax attorney in your community. It is prudent to choose an attorney versus a CPA because privilege attaches.

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